Gratuity Calculator
Estimate gratuity from last-drawn basic salary plus dearness allowance and completed service.
Estimated gratuity:
How the gratuity estimate works
For employees covered by the Act, the common formula is last-drawn Basic + DA × 15/26 × completed years. A service period over six months is normally rounded to the next year for this estimate.
Is five years always compulsory?
Five years of continuous service is the general eligibility rule, with statutory exceptions such as death or disablement.
Is the entire gratuity tax-free?
Not necessarily. Exemption depends on employee category, actual gratuity, the statutory formula and the prevailing monetary ceiling.
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How to read your gratuity result
The estimate uses eligible wages and completed service according to the calculator assumptions. Actual gratuity can depend on statutory coverage, service history, employer policy and legally applicable wage definitions.
Planning note: Use the result for planning and confirm the final settlement with HR/payroll.
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